Banking & savings
Savings account
A basic bank account for everyday money that pays a little interest and keeps funds accessible.
A savings account holds your day-to-day money, lets you withdraw anytime, and pays modest interest, usually 2.5-4%.
It is for liquidity, not growth. Idle lakhs sitting here quietly lose value to inflation.
Keep only near-term spending money here; push the rest into liquid funds or FDs that pay more.
For example
Leaving ₹5L in a savings account at 3% while inflation runs 6% means your money is quietly losing purchasing power each year.